Rockets CEO Tad Brown made the announcement and said there is no current timetable for the sale.

In a statement, Alexander said he feels he is leaving the team in a great place.

"It's been my great joy and honor to own the Houston Rockets for the past 24 years," Alexander said in a statement. "I've had the incredible opportunity to witness true greatness through the players and coaches who have won championships for the city, been named to All-Star and All-NBA teams, enshrined in the Basketball Hall of Fame, and done so much for our franchise and our fans."

According to a report from ESPN, Alexander bought the team for $85 million in 1993 and Forbes now values the Rockets at $1.65 billion.

The Rockets have not won an NBA title since becoming back-to-back champions in 1994-95, but made headlines this offseason by acquiring Chris Paul from the LA Clippers.